Question

For the year ended December 31, Ion Corp. had cash inflows of $25,000 from the purchases, sales, andmaturities of held-to-maturity securities and $40,000 from the purchases, sales, and maturities of availablefor-sale securities. What amount of net cash from investing activities should Ion report in its cash flowstatement?a. $0b. $25,000c. $40,000d. $65,000

Answer 1

Answer:

amount of net cash from investing activities is $65000

Explanation:

given data

cash 1 = $25,000

cash 2 = $40,000

to find out

amount of net cash from investing activities

solution

we know that

to find out amount of net cash is cash flow from available for sale and held-to-maturity investments,  

both of these are the investing activity

so that net amount cash from investing activity is equal = cash 1 + cash 2

net amount cash = 25000 + 40000

net amount cash  = $65000

hence amount of net cash from investing activities is $65000